new York
CNN
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Teamsters union members have authorized a strike against Costco on February 1 unless they reach an agreement with the warehouse retailer before the current contract expires on January 31.
The union said 18,000 Costco workers would go on strike at 56 of the company’s warehouse stores across five states after 85 percent of members voted in favor of a strike. In addition to disagreements over wages and benefits, the union said Costco rejected union proposals regarding seniority pay, paid family leave, bereavement policies, sick leave and safeguards against surveillance.
The company did not respond to a request for comment on the strike vote.
Teamsters covered by the Costco national contract represent 8% of the company’s 219,000 U.S. employees in 616 U.S. stores, according to company filings. But a strike by such a large number of workers represents a major strike for a U.S. retailer, which is overwhelmingly non-union. Department of Labor statistics show that less than 5% of retail workers are represented by unions. Most work in the grocery industry.
The Teamsters organized a strike at Amazon just before Christmas, but unlike the situation at Costco, Amazon does not recognize the union as representing any of its workers and has refused to negotiate with the Teamsters, much less reach a contract. He doesn’t even acknowledge that many of the strikers, who operate third-party delivery services and have exclusive contracts with the online retailer, are his employees. Amazon workers on strike returned to work Boxing Day.
The strike authorization vote does not mean that there will be a strike. Strike authorization votes are a common tactic used by unions before a contract expires. And the overwhelming majority of workers generally authorize a strike during these votes. In June 2023, 97% of Teamsters voted for authorize a strike at UPSthe union’s largest employer. But two weeks before the strike deadline, the union concluded an employment agreement which was averted during a strike at UPS.